IRON ORE — SPOT PRICE AND ROYALTY REVENUE
484. Hon Dr STEVE THOMAS to the minister representing the
Treasurer:
I refer to the 2019 to 2021 boom of iron ore prices.
(1) What is the current spot price of iron ore as measured by
Treasury?
(2) What was the iron ore royalty revenue received in the
2020–21 financial year?
(3) What is
the actual dollar and percentage decline in the iron ore price since I last
asked this question on 24 June this year?
(4) Does Treasury expect this decline to continue; and, if
so, to what extent?
(5) What is the McGowan government's economic plan for
the end of the current mining boom?
Hon STEPHEN DAWSON
replied:
I thank the Leader of the Opposition for some notice of the
question. The following answer is provided on behalf of the Treasurer.
(1) The current spot price is $US162 a tonne.
(2) The audited
iron ore royalty revenue collections for the 2020–21 financial year
will be disclosed in the Annual report on state finances released in
September.
(3) The iron ore price has declined by $54.20, or 25
per cent, since the honourable member's Legislative Council
question without notice 359 on 24 June 2021, highlighting the volatility in the
iron ore price and the need to budget accordingly.
(4) Treasury's commentary on the iron ore market will
be provided in the 2021–22 budget.
(5) The McGowan government has committed around $8
billion as part of the WA recovery plan and in response to the COVID-19 pandemic. This has provided
resourcing for our frontline services, support for businesses and
households, and significant investments to drive our state's economic
recovery and create jobs. The McGowan government continues to make record
investments in infrastructure to boost employment and opportunities for local
businesses and to improve services and support growth over the long term.